17th Apr 2014 07:57
LONDON (Alliance News) - Leni Gas & Oil PLC Thursday said it has received approval to start drilling at the Goudron Field in Trinidad and its drilling rig is being moved to the field in preparation.
The oil and gas exploration and development company said the Ministry of Energy and Energy Affairs gave the approval and access roads have now been upgraded, meaning all facilities are in place for the site to receive the drill rig.
The company said its production operations will be largely unaffected by the drilling with roughly 70 reactivated wells contributing to ongoing production.
Leni Gas said the first new well on the field since 1981, H-18E J-7 is targeting known productive sandstone intervals at a depth of 2,800 feet sub-sea and will then be deepened to ensure all potentially productive horizons are intersected.
"The use of modern drilling equipment and techniques are expected to contribute significantly to the potential flow rates that new wells can achieve," Chief Executive Neil Ritson said in a statement. "We are naturally very excited to have reached this point and look forward to announcing results as they are available."
The company hopes to develop the field through a 30-well programme which is designed to access the existing seven million barrels of proven and probable reserves on site to assist in the design of a secondary recovery system to access some of the estimated 60 million barrels of contingent resources at the field.
Leni Gas & Oil shares were up 12.0% to 0.840 pence, putting it in the top five AIM risers Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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